NEW GOZ LAW FURTHER RESTRICTS LABOR RIGHTS

C O N F I D E N T I A L SECTION 01 OF 02 HARARE 001619

SIPDIS

AF/S FOR BNEULING
NSC FOR SENIOR AFRICA DIRECTOR C. COURVILLE
USDOC FOR ROBERT TELCHIN
TREASURY FOR J. RALYEA, B. CUSHMAN
PASS USTR FOR FLORIZELLE LISER
STATE PASS USAID FOR MARJORIE COPSON
USDOL FOR ROBERT YOUNG
US MISSION GENEVA FOR JOHN CHAMBERLAIN

E.O. 12958: DECL: 12/31/2009
TAGS: ELAB PGOV PHUM PREL ZI ZCTU
SUBJECT: NEW GOZ LAW FURTHER RESTRICTS LABOR RIGHTS

Classified By: Charge d'Affaires a.i. for reason 1.4 b/d

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Summary
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1. (C) The Labor Amendment Bill, passed by Parliament on
November 2, increased the role of the GOZ in mediating
industrial disputes and excluded public sector employees from
labor law protections, both of which are potentially
objectionable to the International Labor Organization (ILO).
The Zimbabwe Congress of Trade Unions (ZCTU) and the
Employers Confederation of Zimbabwe (EMCOZ) are both
dissatisfied with the Bill. See Action Request in paragraph

7. End Summary.

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Key Provisions
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2. (SBU) The Labor Amendment Bill (text e-mailed to AF/S and
DRL/IL),which was passed by Parliament on December 2 despite
MDC opposition, generally increases the GOZ,s involvement in
industrial relations. It provides for the creation of ad hoc
Advisory Councils to resolve industrial disputes between
labor and employers but allows the Labor Minister to appoint
members to Advisory Councils without consulting either ZCTU
or EMCOZ. The Bill also restricts the right of appeal for
both employers and employees by making lower court rulings
enforceable despite an appeal.


3. (SBU) The Bill also excludes public sector employees from
coverage under labor laws, placing them instead under the
Public Service Act (PSA). This has the effect of drastically
scaling back public sector employees labor rights. The PSA
does not provide for the right to form and belong to trade
unions, to collective bargaining, to strike, or to use
alternative dispute resolution mechanisms. The Labor
Minister told the Parliamentary Portfolio Committee on Public
Service, Labor, and Social Welfare that an amendment adding
these rights to the PSA was "forthcoming".

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ZCTU and EMCOZ React Negatively
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4. (C) ZCTU economist Godfrey Kanyenze told PolOff on
November 22 that the labor organization had strongly opposed
the Bill, especially the exclusion of public sector employees
from existing labor laws. Kanyenze said this was a blatant
violation of ILO core labor standards and was a deliberate
effort by the GOZ to keep civil servants in check. He also
expressed skepticism that the promised amendment to the
Public Service Act to correct the problem would ever come to
pass.


5. (C) Kanyenze said ZCTU also opposed allowing the Labor
Minister to make appointments to the Advisory Councils
without consultation, which he said would make the Council's
useless as mediators, and objected to restrictions on the
right to appeal. A labor union that had been ordered to
de-register, for example, would now have to shutdown its
operations pending appeal and given the long time courts take
to hear and decide cases would most likely be unable to
re-constitute itself even if it won on appeal.


6. (C) EMCOZ Executive Director John Mufukare told PolOff on
November 16 that employers were also largely unhappy with the
Bill as well and were sympathetic to ZCTU's objections.
Mufukare shared Kanyenze's concern about the Advisory
Councils and emphatically opposed the enforcement of lower
court judgments while an appeal was pending. He noted that,
under this provision, an employer would have to pay an
employee damages and then recover the money later if the
employer won on appeal.
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Comment and Action Request
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7. (C) This Bill represents the latest in the GOZ's
relentless drive to subdue civil society. Despite the
objections of both employers and the unions, it is likely to
be implemented as passed. With that in mind, we invite the
Department to examine the Bill's provisions, especially the
effect on public sector employees' labor rights and the Labor
Ministry's control of the arbitration process as they relate
to Zimbabwe's international obligations and, if appropriate,
to have the matter(s) raised at ILO meetings in June.
SCHULTZ